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iSHARES SP TSX COMP HIGH DIV INDEX ETFXEI.TOCOMMENTApr 13, 2015Stock price when the opinion was issued
As of Jun 19, 2026. Market Open.
Likes it for dividends. Lots of large-cap banks and pipelines. Defensive, fairly conservative. Names like TD, CNQ, RY, SU, ENB. Very good dividend yield of 5.1%. Banks are cheap right now, so potential for a pretty good move up. Once interest rates fall, the telcos in this particular ETF will perform well.
XEI pays a 4.89% dividend yield, trades at an 11x PE and a 0.91 beta. Volumes average 73,300 so daily trading can be a little choppy, but a dealbreaker. XEI charges only a 0.22% MER. If you’re skittish the banks and are an ESG investor, avoid XEI. All others, give this a look. Read Canadian dividend payers for our full analysis.
An ETF that would best weather interest rate increases? He would be looking at one of the low cost dividend ETF’s like iShares S&P/TSX Equity Income (XEI-T). This is about 20 basis points. In this interest rate environment, he has quite a bit of Money Market that he is sitting in, because he knows at some point rates are going to rise and you don’t want to be in any long-term bonds.